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HOW A DISABILITY ADVOCATE OR ATTORNEY GETS PAID FOR HELPING YOU

Most people who who deal with the US government, and especially the Social Security Administration (SSA) use an advocate or attorney to help them.  It's important for you to know how this representative will get paid for his or her services.

First, the government does not pay your representative's fee.  While the SSA will withhold the fee from your past due benefits and pay the representative directly,* the fee comes out of your back pay settlement (and only your back pay settlement).  The fee is a percentage of the back pay you are given.

For example, if you receive a back pay award for $12,000 and you have agreed to pay your representative 25 percent (the maximum allowable), your representative's fee would be $3,000.  This is the only fee you can be charged.

What about your ongoing monthly benefit check?  It is all yours.  Social Security will not permit the representative to be paid anything out of the future monthly checks.  So, if your monthly disability check is $1,500 per month, you get the entire $1,500.

What about a case where monthly benefits are awarded but no back pay is due?  In this case, the representative is not entitled to charge a fee and his or her work has been free.  (Fees are regulated by the Social Security Administration).

*Representatives must be approved by the Social Security Administration to qualify for Direct Payment of Fees . A government study has shown that representatives who are eligible for Direct Payment of Fees generally do a better job than those who are not Direct Pay qualified.

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